© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 1 Joseph R. Dominick University of Georgia--Athens

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 2 Part III Specific Media Professions

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 3 Chapter 13 Public Relations  Case Study – Qorvis and Saudi Arabia Case Study – Qorvis and Saudi Arabia  Defining Public Relations Defining Public Relations  A Short History of Public Relations A Short History of Public Relations  Organization of the Public Relations Industry Organization of the Public Relations Industry  Departments and Staff Departments and Staff  The Public Relations Program The Public Relations Program  Economics Economics  PR Online PR Online  Public Relations Careers Public Relations Careers Chapter Outline

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 4  Saudi Arabia home to 15 of 19 attackers on 9/11  Saudi Arabia hired Qorvis for spin control  $200,000/month retainer  $20M ad campaign: TV, radio, print  Interviews of Saudi diplomat Adel Al-Jubeir  Result?  Attention brought out other negative stories Case Study – Qorvis and Saudi Arabia American opinion worsened

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 5 Public relations is the art and social science of analyzing trends, predicting their consequences, counseling organization leaders, and implementing planned programs of action which serve both the organization’s and the public’s interests. --- World Assembly of Public Relations Defining Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 6  PR compared with Advertising  Both persuade  Both use mass media  Advertising is a marketing function  Public relations is a management function  Advertising does not use interpersonal communication  Public relations uses every communication form  Advertising is sponsored (paid for)  Public relations messages are usually free Defining Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 7  Common practices that are not public relations:  Press agentry – staging media events to attract public attention  Publicity – attempting to place favorable stories in the media Defining Public Relations Extensive publicity and bad public relations??? It’s possible!

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 8  What PR people actually do:  Work with public opinion  Explain their organization to various publics  Listen to the publics  Work with top management to achieve goals Defining Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 9 A Short History of Public Relations  American Revolution  Boston Tea Party  Liberty Tree  Samuel Adams, Thomas Paine, Abigail Adams, Benjamin Franklin  Industrial Revolution  Initially public completely disregarded  Muckraking exposés  Prototypical press agents

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 10  Ivy Lee  Press representative for anthracite coal mine operators and Pennsylvania RR (late 1900s)  Declaration of Principles  The “humanizing” of business  Woodrow Wilson’s Creel Committee  PR tactics in WW I  “Save food”; “Buy war bonds” A Short History of Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 11  Edward Bernays, Crystallizing Public Opinion, first book on public relations (1923)  Carl Byoir opens PR agency (1930)  Franklin Roosevelt’s radio “fireside talks”  Depression  New Deal reform program  WW II – creation of Office of War Information A Short History of Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 12  Growth in Public Relations late 20 th Century  Some companies acknowledge social responsibilities  Consumerism forces organizations to pay attention  Organizational complexity necessitates PR department  Public is more complex  Population growth  Workplace specialization  Job mobility A Short History of Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 13  Public Relations late 20 th Century  “Era of Public Relations”  19,000 (1950)  300,000 (2003)  Public Relations Society of America (1947)  Code of Standards (1954)  Public Relations Student Society of America (1967)  US military operations in Iraq and embedded reporters  Enron, Arthur Anderson  One of fastest growing professions in USA A Short History of Public Relations

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 14 Organization of the Public Relations Industry  Internal PR Department  More in-depth knowledge about the company  Assigned or reassigned on short notice  Less costly  External PR Agencies  Fresh, objective viewpoints  More services  Purchasable prestige  May cause morale problems in company

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 15 Organization of the Public Relations Industry Business Government Education Hospitals Nonprofit organizations Professional associations Entertainment and sports International PR Investor relations Politics Crisis management Areas of Public Relations Practice

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 16  Internal PR Departments  No two are identical  PR director always reports directly to top management  Three main divisions 1)Corporate communications (internal publics) 2)Community relations (external publics) 3)Press relations (news media) Departments and Staff

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 17  External PR Departments  More complex  Five typical main divisions 1)Creative services – press releases 2)Research – surveys, focus groups 3)Publicity and marketing – merchandising, promotions 4)Accounts – relations with clients 5)Administration – business aspects of the department Departments and Staff

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 18 The Public Relations Program The Four Steps of a Typical PR Program Step OneStep TwoStep ThreeStep Four  Information Gathering  Organizational records, books, journals  Letters, , interviews  Formal research techniques  Program-specific questions:  Planning  Strategic  Long term, general goals  Formed by top management  Tactical  More specific, often short term  Tasks that achieve the strategic goals  Management by Objective  “Inform >50% of Cartown about reasons for move”  Communication  Organization is the source of the communication  PR requires thorough knowledge of mass media  Personal communication channels also necessary  Example: news conferences, ads, news releases, public meetings (external publics)  Example: bulletin boards, newsletters, speeches, letters, memos (internal publics)  Evaluation  “How well did it work?”  Works with MBO techniques – measurable goals make measurement of success possible  Measure accomplishment of tasks as well as achievement of desired effect  Simple measurements: # brochures delivered  Complex measurements: shift of perception  Example: Change in customer loyalty due to move Example: An automobile manufacturing plant is closing soon in Cartown, Midwest USA Challenge: Communicate this to the people of Cartown How much will the company save? How many workers will be transferred? What about the empty buildings? Will the people believe the company? How will affect the company’s other operations?

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 19 $Weak economy  revenues decline $Top 50 USA PR firms: $2B in fee income in 2002 $Industry domination: giants owned by ad agencies $(Porter-Novelli, Fleishman-Hillard) of Omnicom $(Hill & Knowlton, Burson-Marsteller) of WPP $Independents $Edelman PR Worldwide $Ruder Finn $Fees: Economics fixed,retainer,hourly rate,time+

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 20  used for press releases and communications  Internet used to distribute info to the media  PR Newswire  Corporate website now first line of communication with: consumers, shareholders, reporters  Crisis management uses corporate website  Example:  Online corporate pressroom PR Online

© 2005 The McGraw-Hill Companies, Inc. All rights reserved. Slide 21 PR  Internships at various firms, or in the media  Writing and communication skills very important  Business, law, public opinion research, social sciences are useful  Editing, writing, speech-making, media production Public Relations Careers